Crypto Asset Management Company Bitwise Announces It Considers This Altcoin a ‘2nd Generation’ Cryptocurrency! Here Are the Details

Crypto asset management company Bitwise has made a noteworthy assessment of HYPE, the native token of the Hyperliquid ecosystem.

Matt Hougan, the company’s Chief Investment Officer, argued that while HYPE is projected to be one of the best-performing large-cap crypto assets by 2026, it is still not sufficiently valued by the market.

According to Hougan, HYPE has shown strong performance, gaining 77% in value since the beginning of the year. However, despite this, investors are not fully pricing in Hyperliquid’s long-term growth potential. The Bitwise executive described HYPE as a “second-generation crypto token,” stating that these assets have the capacity to create value over time, just like traditional securities.

Hyperliquid attracted attention by generating approximately $170 billion in transaction volume in the last month. However, Hougan stated that the platform is not yet complete its development process and needs to ensure integration with the US regulatory system in particular.

Bitwise recently launched its own HYPE-based exchange-traded fund (ETF). The company announced that it plans to use a portion of the management fees from the BHYP Hyperliquid ETF to accumulate HYPE tokens.

Hougan emphasized that it would be a big mistake to view Hyperliquid solely as a crypto derivatives exchange. He stated that the platform could evolve into a global financial super-app by expanding over time into areas such as stocks, pre-IPO private company shares, commodities, currency markets, and prediction markets.

According to Bitwise, Hyperliquid’s total addressable market isn’t limited to the $3 trillion cryptocurrency market. With the potential to access approximately $600 trillion of global financial assets, the platform may therefore be trading at a significant discount compared to its current valuation. This assessment suggests that institutional interest in HYPE (Hyperliquid Investment Platform) may increase in the coming period.

*This is not investment advice.

Continue Reading: Crypto Asset Management Company Bitwise Announces It Considers This Altcoin a ‘2nd Generation’ Cryptocurrency! Here Are the Details